Hamish Fletcher

Business reporter for the NZ Herald

Chorus falls further as large shareholder sells down

Photo / Glenn Taylor
Photo / Glenn Taylor

Chorus' shares have taken another dive and fallen almost 7 per cent today as its third biggest shareholder sells down its stake in the embattled infrastructure company.

BNY Mellon, a US-based investment company with US$1.5 trillion in assets under management, has dropped its holding in Chorus from 7.45 per cent to 6.3 per cent.

The company's shares, flat in mid-morning trading, are now down 6.88 per cent to $1.285 each - a new low.

Chorus' share price has tumbled by more than 50 per cent over the past year and the company fears Commerce Commission cuts to broadband pricing could hit its ebitda (earnings before interest, tax, depreciation and amortisation) by $142 million a year and harm its ability to build the ultra-fast broadband network.

BNY Mellon is still third largest investor in Chorus, according to a Bloomberg register.

The largest is Schroders, a British multinational that was founded in 1804, which has a 9.66 per cent stake.

The second largest is JP Morgan Chase, which has a stake of 8.08 per cent.

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